BIOTECHS GET SMOKED: Here's what you need to know

Stocks rebounded after last Friday's sell off and earned a
positive close to start this week. During the session, the Nasdaq
was dragged lower by biotech stocks, and it was on its own in the
red among the three major indexes.

First, the scoreboard:

Dow:16,523.48,
+138.90, (0.85%)

S&P 500: 1,970.04, +12.01, (0.61%)

Nasdaq: 4,838.81, +11.58, (0.24%)

And now, the top stories on Monday:

Biotechs got slammed. The iShares Nasdaq Biotechnology Index
ETF fell more than 4%. Some of the uglier individual names
included Exact Sciences (-7%), Juno Therapeutics (-9%), and
Biogen (-6%). The moves lower happened after democratic
presidential frontrunner Hillary Clinton tweeted
that she would announce Tuesday plans to take on "price gouging"
in the industry. This was in response to a New York Times
story on Daraprim, an infectious disease drug which
was hiked 5000% to $750 from $13.50 overnight.

In economic data,
existing home sales unexpectedly fell 4.8% to an annual
rate of 5.31 million in August, the National Association of
Realtors said. Chief economist Lawrence Yun said tight
inventory levels discouraged some buyers. Single-family
home sales fell 5.3% to a seasonally adjusted rate of 4.69
million, while condo and co-op sales fell 1.6% to a seasonally
adjusted rate of 620,000 units. At $228,700, the median home
price rose year-on-year for a 42nd straight month.

GoPro shares declined by more than 6%. In a weekend
article, Barron's said the company's shares could fall 29%. The
magazine likened GoPro's point-of-view cameras to BlackBerry
smartphones and said they were a "one-product wonder". The
article also cited concerns about mounting competition from
companies like Apple.

Medallion Financial shares surged by as much as 18%, also
following a Barron's article. The magazine said the stock was a
"buy". The company finances taxi medallions in New York and
other big cities. Its stock had fallen about 60% from the
all-time high, and according to Barron's, the selloff was
overdone. According to the article, it's an exaggeration that
Uber will run the taxi business aground.

Pandora spiked 10%. The company received a preliminary
ruling on its ongoing hearing with the Copyright Royalty Board
(CRB), which sets rates that performers earn when services like
Pandora play their music. In short, the Copyright Office
decided that the CRB should benchmark its decision on favorable
rates Pandora already has in agreements with the
music-rights agency Merlin and the record label
Naxos.